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Genetically modified organisms (GMOs) are to be labelled by exporters under a major Biosafety Protocol adopted yesterday by 130 countries in Montreal.

The international agreement, made after 5 days of intensive negotiations, is hailed as an historic win for environmental groups and NGOs.

"This is the first time that international law recognises that genetically modified organisms are distinct and inherently different", said Yoke Ling Chee of the Third World Network, speaking on behalf of the NGOs present at the gathering. But she said the Protocol is only a first step in a long journey.

Under the agreement, countries will be required to label any shipments that "may contain" genetically modified organisms. However, they will not be required to segregate genetically modified and conventional crops, according to a Reuters report.

The Protocol also stipulates that countries may prevent imports of crops containing genetically modified organisms, on the basis of scientific uncertainty about potential adverse affects.

The agreement comes after vocal resistance from the so-called Miami Group, which includes Australia, Canada and the USA, the world's largest producer and exporter of genetically modified crops.

The Miami Group called for a "savings clause" in the Protocol to prevent it taking precedence over WTO rules on free trade. They also argued that commodities should not be subject to the same requirements as other GMOs, such as seeds, intended for direct introduction into the environment.

"We want to make sure this agreement takes care of environmental concerns in a way that balances trade concerns", said Ralph Hillman, Australia's Ambassador for the Environment, in an interview with Radio National's Earthbeat program on the weekend. "We don't want demands for information that make it very difficult and expensive to be an exporter of commodities", he said.

Bob Phelps of Australia's GeneEthics Network, said the agreement is a crucial first step in protecting the global environment and public health. "Overall, the Protocol is a solid document and we urge the Australian government to implement it fully, in co-operation with our Pacific and Asian neighbours", he said from Montreal. He called for all exports and imports of GMO's to be frozen at least until the Protocol comes into force.

Matt O'Neill, of the Australian Consumer's Association, described the agreement as good news for consumers. "The writing's been on the wall at a global level for labelling of GMOs, but governments and corporations have been ignoring the demands of consumers", he told The Lab. "The protocol represents a step in the right direction to better labelling of products containing genetically modified organisms."

50 nations are required to sign the agreement before it is officially adopted. "Now they've talked the talk, they have to walk the walk", said O'Neill, concerned about the timeline for adoption of the Protocol. "Delay tactics on the part of multinational corporations will be likely to backfire."

The Biosafety Protocol is part of the UN's Biodiversity Convention which was adopted at the Rio Earth Summit in 1992.

The Federal Minister for the Environment, Senator Robert Hill, is yet to comment on the Montreal outcome.